https://www.scmp.com/rss/75775/feed Founded in 1913, the Federal Reserve is the central banking system for the United States. en https://assets.i-scmp.com/static/img/icons/scmp-meta-1200x630.png https://www.scmp.com Sylvia Ma Sylvia Ma In an extraordinary break from the diplomatic restraint typical of central banks, a dozen leaders of the world’s foremost monetary institutions issued a joint statement in January declaring their “full solidarity” with the US Federal Reserve and its embattled chair, Jerome Powell. “The independence of central banks is a cornerstone of price, financial and economic stability in the interest of the citizens that we serve,” they wrote. The move was intended to shore up the separation of monetary... https://www.scmp.com/business/banking-finance/article/3352914/investors-have-worries-about-trumps-pick-fed-chair-should-they?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3352914/investors-have-worries-about-trumps-pick-fed-chair-should-they?utm_source=rss_feed Sat, 09 May 2026 01:00:10 +0000 Nicholas Spiro Nicholas Spiro For an indication of how much the energy crisis is shaping the path of monetary policy, look no further than Australia. On May 5, the country’s central bank raised interest rates for the third consecutive time, unwinding last year’s monetary easing. The Reserve Bank of Australia (RBA) said “higher fuel prices are adding to inflation and there are indications that this is likely to have second-round effects on prices for goods and services more broadly”. The RBA’s decision to keep tightening... https://www.scmp.com/opinion/world-opinion/article/3352708/australias-interest-rate-rise-signals-growing-hawkish-stance-asia?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3352708/australias-interest-rate-rise-signals-growing-hawkish-stance-asia?utm_source=rss_feed Thu, 07 May 2026 08:30:05 +0000 Karen Tian Karen Tian China’s central bank has set the yuan’s exchange rate at its strongest level against the US dollar in more than three years, as Beijing pushes to internationalise its currency and global confidence in US dollar assets continues to waver. The People’s Bank of China set the yuan’s midpoint rate at 6.8487 per US dollar on Thursday, the strongest level since April 2023. The fixing rate, used as a reference for daily market trading, was 6.8562 a day earlier. Analysts expect the Chinese currency to... https://www.scmp.com/economy/china-economy/article/3352735/chinas-exporters-face-test-yuan-hits-3-year-high-against-us-dollar?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3352735/chinas-exporters-face-test-yuan-hits-3-year-high-against-us-dollar?utm_source=rss_feed Thu, 07 May 2026 08:22:07 +0000 Biman Mukherji Biman Mukherji Asia’s gold rush is starting to lose some of its lustre, as surging oil prices due to the Iran war dampen rate-cut hopes that recently helped fuel one of the metal’s strongest rallies in years. A surge in energy costs has revived inflation concerns and made central banks less likely to cut rates, and this has made interest-bearing assets more attractive, according to analysts. Gold prices fell by 12 per cent from US$5,247.90 per troy ounce on February 27 to US$4,620 on Friday morning. The metal... https://www.scmp.com/week-asia/economics/article/3352153/gold-loses-its-shimmer-asia-over-rising-oil-prices-hawkish-fed-stance?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3352153/gold-loses-its-shimmer-asia-over-rising-oil-prices-hawkish-fed-stance?utm_source=rss_feed Fri, 01 May 2026 09:34:58 +0000 Associated Press Associated Press The US economy accelerated at the start of 2026, expanding at a modest 2 per cent pace from January through March after recovering from last fall’s 43-day federal government shutdown. But the outlook is clouded by the Iran war. The Commerce Department reported on Thursday that gross domestic product – the nation’s output of goods and services – rebounded from a lacklustre 0.5 per cent expansion the last three months of 2025. The federal government’s spending and investment grew at a 9.3 per cent... https://www.scmp.com/news/world/united-states-canada/article/3352072/us-economy-grows-2-january-march-iran-war-clouds-outlook?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3352072/us-economy-grows-2-january-march-iran-war-clouds-outlook?utm_source=rss_feed Thu, 30 Apr 2026 13:50:09 +0000 Enoch Yiu Enoch Yiu Hong Kong’s monetary authority warned of interest-rate uncertainty amid ongoing tensions in the Middle East, after leaving its base rate unchanged on Thursday in tandem with the US Federal Reserve. The Hong Kong Monetary Authority (HKMA) said US interest-rate movements were affected by the Middle East tensions, which had led to higher oil prices and affected US inflation. Analysts said the inflationary impact of the US-Israel war with Iran had reduced the chances of a rate cut this year. “The... https://www.scmp.com/business/banking-finance/article/3351921/hkma-holds-base-interest-rate-4-following-fed-war-inflation-worries-persist?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3351921/hkma-holds-base-interest-rate-4-following-fed-war-inflation-worries-persist?utm_source=rss_feed Wed, 29 Apr 2026 23:27:32 +0000 Agence France-Presse Agence France-Presse The extraordinary clash at the Federal Reserve between Jerome Powell and Donald Trump entered new territory on Wednesday when the outgoing US central bank chairman said he would remain on as a governor – and the president lashed him with another insult. Powell said that while his term at the head of the Fed was ending May 15, he would exercise his right to remain on the board “for a period of time to be determined”. Powell appeared concerned about the Fed maintaining its independence in the face... https://www.scmp.com/news/world/united-states-canada/article/3351915/powell-says-hell-stay-fed-after-chair-term-ends-citing-attacks-trump-team?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3351915/powell-says-hell-stay-fed-after-chair-term-ends-citing-attacks-trump-team?utm_source=rss_feed Wed, 29 Apr 2026 19:33:58 +0000 Associated Press Associated Press The US Justice Department has ended its probe into Federal Reserve chair Jerome Powell, clearing a major roadblock to the confirmation of his successor, Kevin Warsh. US Attorney for the District of Columbia Jeannine Pirro said on X on Friday that her office was ending its probe into the Fed’s extensive building renovations because the Fed’s inspector general would scrutinise them instead. The decision ends an investigation, one of several undertaken by the Justice Department into President... https://www.scmp.com/news/world/united-states-canada/article/3351378/us-drops-criminal-probe-fed-chair-powell-likely-clearing-way-nominee-warsh?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3351378/us-drops-criminal-probe-fed-chair-powell-likely-clearing-way-nominee-warsh?utm_source=rss_feed Fri, 24 Apr 2026 14:54:25 +0000 Sylvia Ma Sylvia Ma US Federal Reserve chair nominee Kevin Warsh’s policy vision – outlined during his Senate confirmation hearing – signals an extension of “America First” into monetary policy, Chinese analysts said. “Warsh’s policy proposals … mark a shift from acting as a ‘global central bank’ supplying unlimited liquidity worldwide to a new approach focused on tightly controlling the overall monetary spigot, prioritising domestic productivity and emphasising monetary sovereignty,” analysts at China... https://www.scmp.com/economy/global-economy/article/3350993/america-first-fed-trump-nominee-kevin-warsh-signals-monetary-sovereignty-push-analysts?utm_source=rss_feed https://www.scmp.com/economy/global-economy/article/3350993/america-first-fed-trump-nominee-kevin-warsh-signals-monetary-sovereignty-push-analysts?utm_source=rss_feed Wed, 22 Apr 2026 08:30:14 +0000 Reuters Reuters Federal Reserve chief nominee Kevin Warsh ⁠called for “regime change” at the US central bank, including a new approach for controlling inflation and a communications ⁠overhaul that may discourage his colleagues from saying too much about the direction of monetary policy. Warsh’s comments during his confirmation hearing before the Senate Banking Committee left key questions about his nomination unresolved. Republican Senator Thom Tillis used his full time to explain why he would not vote for the... https://www.scmp.com/news/world/united-states-canada/article/3350927/kevin-warsh-trumps-pick-fed-chief-calls-regime-change-us-central-bank?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3350927/kevin-warsh-trumps-pick-fed-chief-calls-regime-change-us-central-bank?utm_source=rss_feed Tue, 21 Apr 2026 17:46:27 +0000 Cheryl Arcibal Cheryl Arcibal Hong Kong homebuyers’ strong demand for new flats extended a streak of brisk sales for developers with one project selling out in a single day, underscoring the city’s broader recovery in housing prices. All 88 units at the Pavilia Farm III project by New World Development and MTR Corporation in Sha Tin were sold on Saturday, prompting the developers to put 75 more flats on sale later that night. Elsewhere in Kai Tak, 133 units of KT Marina II were snapped up over the weekend, according to... https://www.scmp.com/property/hong-kong-china/article/3350638/hong-kong-homebuyers-extend-sell-out-streak-amid-renewed-confidence-market?utm_source=rss_feed https://www.scmp.com/property/hong-kong-china/article/3350638/hong-kong-homebuyers-extend-sell-out-streak-amid-renewed-confidence-market?utm_source=rss_feed Sun, 19 Apr 2026 13:10:25 +0000 Bloomberg Bloomberg US President Donald Trump has said he will fire Jerome Powell if the Federal Reserve chair does not step down “in time”, adding that he will not drop the Justice Department investigation into the central bank leader. “I’ll have to fire him, OK, if he’s not leaving on time. I’ve held back firing him. I’ve wanted to fire him, but I hate to be controversial,” Trump said in an interview with Fox Business. “I want to be uncontroversial. But he will be fired,” he said in the interview taped on... https://www.scmp.com/news/world/united-states-canada/article/3350211/trump-threatens-fire-fed-chair-powell-if-he-doesnt-step-down-time?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3350211/trump-threatens-fire-fed-chair-powell-if-he-doesnt-step-down-time?utm_source=rss_feed Wed, 15 Apr 2026 13:45:08 +0000 Sylvia Ma,Vincent Chow Sylvia Ma,Vincent Chow With US Treasury Secretary Scott Bessent and Federal Reserve chair Jerome Powell reported to have held urgent talks over Anthropic’s latest artificial intelligence model, experts are warning that immediate cybersecurity assessments are needed to avert potential economic damage running into the hundreds of billions of US dollars. Across the Pacific, however, analysts said China’s banks were taking a more cautious approach, as Beijing prioritises financial stability and intensifies monitoring of... https://www.scmp.com/economy/global-economy/article/3349685/china-banks-buffer-against-ai-contagions-us-sweats-over-anthropics-mythos?utm_source=rss_feed https://www.scmp.com/economy/global-economy/article/3349685/china-banks-buffer-against-ai-contagions-us-sweats-over-anthropics-mythos?utm_source=rss_feed Fri, 10 Apr 2026 15:00:08 +0000 Sylvia Ma Sylvia Ma As the French central bank repatriates gold reserves from the United States, analysts say China should seize this “strategic window” to develop itself into the next global gold hub. They added that Beijing can leverage policy stability, alongside Hong Kong’s strengths in fintech such as blockchain, to build a modern gold trading centre, particularly as policy volatility under US President Donald Trump’s second term heightens global concerns and deepens the de-dollarisation trend. “I think [the... https://www.scmp.com/economy/china-economy/article/3349343/france-pulls-gold-us-how-can-china-develop-next-global-gold-hub?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3349343/france-pulls-gold-us-how-can-china-develop-next-global-gold-hub?utm_source=rss_feed Wed, 08 Apr 2026 12:00:08 +0000 Cheryl Arcibal Cheryl Arcibal Hong Kong developers are raising prices of new homes this week following sold-out launches in recent days, further testing the appetite of homebuyers amid geopolitical and interest rate uncertainties. Henderson Land Development put another 39 units at its Chester project in Hung Hom on sale on Monday, with 25 homes finding buyers, according to agents. With an average discounted price of HK$22,198 (US$2,831) per square foot, the units were priced 4.57 per cent higher than the 123 units that sold... https://www.scmp.com/business/article/3349172/hong-kong-developers-test-homebuyers-modest-price-increases-after-sell-outs?utm_source=rss_feed https://www.scmp.com/business/article/3349172/hong-kong-developers-test-homebuyers-modest-price-increases-after-sell-outs?utm_source=rss_feed Mon, 06 Apr 2026 10:30:44 +0000 Zhang Shidong Zhang Shidong Gold is likely to stabilise and resume its record-setting uptrend once Middle East tensions recede and new leadership at the US Federal Reserve adopts a policy of monetary easing, according to global financial institutions. The yellow metal would quickly rebound above US$5,000 an ounce as long as crude oil slipped back to between US$80 and US$85 a barrel, according to a report by William Blair, the US investment banking and wealth-management company. Lombard Odier, the Swiss private banking and... https://www.scmp.com/business/markets/article/3349028/gold-may-reverse-course-once-iran-war-ends-fed-adopts-policy-easing?utm_source=rss_feed https://www.scmp.com/business/markets/article/3349028/gold-may-reverse-course-once-iran-war-ends-fed-adopts-policy-easing?utm_source=rss_feed Mon, 06 Apr 2026 03:00:09 +0000 Nicholas Spiro Nicholas Spiro Last month, Brent crude, the international oil benchmark, experienced its largest monthly rise since the launch of the futures contract in 1988 as the war in Iran caused an unprecedented disruption to global energy flows. Brent surged 63 per cent to US$118 per barrel, exceeding the previous record increase in September 1990 following Iraq’s invasion of Kuwait. The price shock has been even more dramatic in refined products. Jet fuel costs have more than doubled since the war began, with diesel... https://www.scmp.com/opinion/asia-opinion/article/3348744/asian-central-banks-largely-powerless-face-iran-war-energy-shock?utm_source=rss_feed https://www.scmp.com/opinion/asia-opinion/article/3348744/asian-central-banks-largely-powerless-face-iran-war-energy-shock?utm_source=rss_feed Thu, 02 Apr 2026 08:30:07 +0000 Cheryl Arcibal Cheryl Arcibal Hong Kong homebuyers snapped up new launches on Tuesday as developers accelerated sales amid concerns over slower rate cuts and geopolitical tensions in the Middle East. By about 3.50pm, all 254 flats released at the La Mirabelle project in Tseung Kwan O had been sold, according to market agents. “Today’s positive sales results at La Mirabelle is a vote of confidence for the Hong Kong residential market,” said Daryl Ng, chairman of Sino Group. “The Hong Kong residential market fundamentals are... https://www.scmp.com/business/article/3348547/hong-kong-homebuyers-pile-new-launches-despite-rate-jitters-and-middle-east-tensions?utm_source=rss_feed https://www.scmp.com/business/article/3348547/hong-kong-homebuyers-pile-new-launches-despite-rate-jitters-and-middle-east-tensions?utm_source=rss_feed Tue, 31 Mar 2026 09:49:52 +0000 Cheryl Arcibal Cheryl Arcibal Hong Kong developers on Friday released 222 new flats in Kowloon, the city’s largest batch of units on a single day since buyers were warned about the uncertain direction of interest rates. K&K Property launched 122 one-bedroom units at foto+, a single residential tower in Mong Kok close to Olympic station, while Wang On Properties put 100 units up for sale at the Connext project in Wong Tai Sin. By 7pm Friday, 103 of the foto+ units had found buyers. Sales at Connext, meanwhile, kicked off at... https://www.scmp.com/business/article/3348175/hong-kong-developers-test-market-222-units-released-amid-interest-rate-uncertainty?utm_source=rss_feed https://www.scmp.com/business/article/3348175/hong-kong-developers-test-market-222-units-released-amid-interest-rate-uncertainty?utm_source=rss_feed Fri, 27 Mar 2026 11:30:11 +0000 Cheryl Arcibal Cheryl Arcibal Hong Kong’s lived-in home prices rose 1.6 per cent in February, marking the 11th straight month of positive movement for the residential property segment, as the city’s rents scaled another peak, according to official data. Since reversing a downward trend in April, second-hand home prices had climbed nearly 8 per cent so far, bringing the official index to a 22-month high, according to data released on Friday by the Rating and Valuation Department. The latest monthly increment was also larger... https://www.scmp.com/business/article/3348081/hong-kong-home-prices-surge-near-two-year-high-iran-war-clouds-outlook?utm_source=rss_feed https://www.scmp.com/business/article/3348081/hong-kong-home-prices-surge-near-two-year-high-iran-war-clouds-outlook?utm_source=rss_feed Fri, 27 Mar 2026 04:04:50 +0000 Cheryl Arcibal Cheryl Arcibal Hongkonger Katie Chan was hoping to buy a flat to live in, and although the 37-year-old accountant was in no rush, the potential longer pause in interest rate cuts could delay her decision. For Chan, the ideal mortgage would be if the one-month Hong Kong interbank offered rate (Hibor) fell below 1.95 per cent, but this year the key driver for local mortgage costs and corporate borrowing rates had only dropped to as low as 2.02 per cent, according to data tracked by the Hong Kong Association of... https://www.scmp.com/business/article/3347469/potential-rate-cut-pause-geopolitical-tensions-may-cloud-hong-kong-property-recovery?utm_source=rss_feed https://www.scmp.com/business/article/3347469/potential-rate-cut-pause-geopolitical-tensions-may-cloud-hong-kong-property-recovery?utm_source=rss_feed Sun, 22 Mar 2026 23:30:16 +0000 Yeon Woo Lee Yeon Woo Lee Gold prices have continued to weaken despite escalating tensions in the US-Israel conflict with Iran, breaking from the metal’s traditional role as a geopolitical hedge, as fading expectations of interest rate cuts and a stronger US dollar weigh on sentiment, analysts said. The metal has declined about 15 per cent since a brief surge on March 2, when prices climbed to around US$5,300 per ounce following US and Israeli strikes on Iran. A modest rebound driven by technical buying on Friday did... https://www.scmp.com/business/commodities/article/3347473/gold-slides-hawkish-fed-and-strong-us-dollar-override-geopolitical-fears?utm_source=rss_feed https://www.scmp.com/business/commodities/article/3347473/gold-slides-hawkish-fed-and-strong-us-dollar-override-geopolitical-fears?utm_source=rss_feed Sun, 22 Mar 2026 09:00:27 +0000 Enoch Yiu Enoch Yiu The Hong Kong Monetary Authority (HKMA) has warned the public to beware of interest rate risks after it kept its base rate unchanged, following a similar move by the US Federal Reserve, as the city’s de facto central bank said the Middle East conflict has added to the uncertainty over the pace of rate cuts this year. HKMA maintained the city’s base rate at 4 per cent on Thursday. Hours earlier, the Fed kept its target rate in the range of 3.5 per cent to 3.75 per cent, after the second meeting... https://www.scmp.com/business/banking-finance/article/3347088/hong-kong-follows-federal-reserve-keep-base-rate-unchanged-amid-middle-east-war?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3347088/hong-kong-follows-federal-reserve-keep-base-rate-unchanged-amid-middle-east-war?utm_source=rss_feed Wed, 18 Mar 2026 23:16:04 +0000 Agence France-Presse Agence France-Presse The US Federal Reserve kept interest rates unchanged on Wednesday as expected, in defiance of President Donald Trump as the world’s largest economy battles stubborn inflation, weak labour demand and an “uncertain” outlook due to the war in Iran. The Fed’s 11-1 vote kept rates steady at a range between 3.50 per cent and 3.75 per cent, with officials flagging one expected rate cut by the end of the year. “The implications of developments in the Middle East for the US economy are uncertain,” the... https://www.scmp.com/news/world/united-states-canada/article/3347084/us-fed-defies-trump-keep-interest-rates-unchanged-amid-iran-war-concerns?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3347084/us-fed-defies-trump-keep-interest-rates-unchanged-amid-iran-war-concerns?utm_source=rss_feed Wed, 18 Mar 2026 18:52:46 +0000 Reuters Reuters US President Donald Trump’s administration ⁠has asked a judge to reconsider his ruling that has effectively blocked a criminal investigation into US Federal Reserve Chairman Jerome Powell, according to court documents made public on Monday. Washington-based US District Judge James ‌Boasberg in a ruling unsealed on Friday blocked subpoenas issued by federal prosecutors in January seeking information about cost overruns in renovations at the Fed’s headquarters and Powell’s testimony to Congress... https://www.scmp.com/news/world/united-states-canada/article/3346803/trump-administration-urges-judge-revisit-ruling-blocking-subpoenas-jerome-powell?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3346803/trump-administration-urges-judge-revisit-ruling-blocking-subpoenas-jerome-powell?utm_source=rss_feed Mon, 16 Mar 2026 19:13:22 +0000 Associated Press Associated Press A federal judge on Friday quashed US Justice Department subpoenas issued to the Federal Reserve in January, a severe blow to an investigation that has already attracted strong criticism on Capitol Hill. Judge James Boasberg said that a “mountain of evidence suggests” that the purpose of the subpoenas was simply to pressure the Fed to cut its key interest rate, as US President Donald Trump has repeatedly demanded. Fed Chair Jerome Powell revealed the investigation on January 11, prompting Senator... https://www.scmp.com/news/world/united-states-canada/article/3346568/judge-quashes-subpoenas-fed-chair-says-investigation-was-politically-motivated?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3346568/judge-quashes-subpoenas-fed-chair-says-investigation-was-politically-motivated?utm_source=rss_feed Fri, 13 Mar 2026 20:17:52 +0000 Zhang Shidong Zhang Shidong US President Donald Trump’s nomination of Kevin Warsh to head the Federal Reserve is likely to add more volatility to global financial markets, as his historical stance against financial easing could complicate the Fed’s decision-making in terms of monetary easing, according to analysts. The White House nomination came a month after Trump said the former Fed governor, who opposed rate cuts during the 2008 global financial crisis, would be his choice to succeed Jerome Powell, whose chair term... https://www.scmp.com/business/china-business/article/3345721/trumps-fed-pick-stokes-uncertainty-investors-weigh-hawkish-past-pro-growth-pivot?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3345721/trumps-fed-pick-stokes-uncertainty-investors-weigh-hawkish-past-pro-growth-pivot?utm_source=rss_feed Sun, 08 Mar 2026 01:30:11 +0000 Agence France-Presse Agence France-Presse The US unexpectedly lost jobs in February while unemployment edged up, government data showed Friday, piling pressure on President Donald Trump’s economic agenda as key midterm elections approach. The world’s biggest economy shed 92,000 jobs last month, in a sharp reversal from the job growth of 126,000 in January, the Labour Department said. The unemployment rate, meanwhile, crept up to 4.4 per cent from 4.3 per cent. White House economic adviser Kevin Hassett insisted Friday that the US... https://www.scmp.com/news/world/united-states-canada/article/3345782/us-sheds-92000-jobs-warning-sign-trumps-economy?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3345782/us-sheds-92000-jobs-warning-sign-trumps-economy?utm_source=rss_feed Fri, 06 Mar 2026 21:09:39 +0000 Zhang Shidong Zhang Shidong Hong Kong stocks capped their worst weekly performance in four months as the US-Iran war stoked stagflation fears and dampened investor sentiment. The Hang Seng Index closed 1.7 per cent higher at 25,757.29 on Friday. For the week, the benchmark declined 3.3 per cent, its steepest decline for the five-day period since November 21. The Hang Seng Tech Index surged 3.2 per cent. On the mainland, the CSI 300 Index gained 0.3 per cent and the Shanghai Composite Index added 0.4 per cent. The war in... https://www.scmp.com/business/china-business/article/3345641/hong-kong-stocks-track-steepest-weekly-slump-4-months-us-iran-war?utm_source=rss_feed https://www.scmp.com/business/china-business/article/3345641/hong-kong-stocks-track-steepest-weekly-slump-4-months-us-iran-war?utm_source=rss_feed Fri, 06 Mar 2026 02:10:34 +0000 Richard Harris Richard Harris So, the Trump administration has now decapitated two governments, Venezuela and Iran. You can be sure most world leaders will be videoconferencing from secure bunkers from now on. Iran’s leaders brought this upon themselves by being aggressively extremist, especially about their stated aim to destroy Israel, another sovereign state. They have sought to destabilise fellow Muslim states in the Middle East and beyond for decades. Iran’s antipathy towards its neighbours has caused it to attack no... https://www.scmp.com/opinion/world-opinion/article/3345426/are-investors-spooked-iran-violence-market-response-suggests-not?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3345426/are-investors-spooked-iran-violence-market-response-suggests-not?utm_source=rss_feed Thu, 05 Mar 2026 21:30:09 +0000 Kevin Li Kevin Li Hongkongers may begin to feel the impact of the escalating war in the Middle East in the coming months, as rising global oil prices are expected to push up energy bills and dining costs, according to experts. Analysts said the attacks on Iran by the United States and Israel, and subsequent retaliation across the region, were also likely to slow the pace of US interest rate cuts and curb the rise in Hong Kong housing prices. As military operations in the Middle East entered their fourth day,... https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3345321/hong-kong-inflation-risks-grow-war-middle-east-escalates-experts-warn?utm_source=rss_feed https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3345321/hong-kong-inflation-risks-grow-war-middle-east-escalates-experts-warn?utm_source=rss_feed Wed, 04 Mar 2026 00:30:08 +0000 Sylvia Ma Sylvia Ma China’s yuan has strengthened to its highest level against the US dollar in nearly three years, with its official fixing rate also firming amid growing uncertainty over the American currency. On Wednesday afternoon, the offshore yuan traded at 6.867 per US dollar, its strongest level since April 2023. The same day, the People’s Bank of China set the yuan’s midpoint rate – also known as the daily fixing – at 6.9321 per US dollar, also the strongest since May 2023. The currency has appreciated... https://www.scmp.com/economy/china-economy/article/3344582/chinas-yuan-strengthens-near-3-year-high-us-dollar-uncertainty-grows?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3344582/chinas-yuan-strengthens-near-3-year-high-us-dollar-uncertainty-grows?utm_source=rss_feed Wed, 25 Feb 2026 08:15:05 +0000 Sylvia Ma Sylvia Ma With Hong Kong set to unveil its annual budget, economists have said the city should strengthen its role in pushing the internationalisation of the Chinese yuan as Beijing presses ahead with financial opening while keeping stability firmly in view. From expanding offshore yuan products to using its stablecoin regulations as a sandbox for potential cross-border payment channels, the experts said that Hong Kong could help realise the nation’s vision of becoming a “financial powerhouse”, especially... https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3344264/should-hong-kongs-next-budget-make-room-taking-yuan-global-experts-weigh?utm_source=rss_feed https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3344264/should-hong-kongs-next-budget-make-room-taking-yuan-global-experts-weigh?utm_source=rss_feed Mon, 23 Feb 2026 00:00:30 +0000 Shanshan Li Shanshan Li As political pressure on the US Federal Reserve intensifies in Washington, the reverberations are rippling across the globe. Gregory Peters, co-chief investment officer of fixed income at PGIM, has noted that bringing political pressure to bear on the Fed is an “own goal” – a self-inflicted shock that erodes confidence and is unlikely to deliver lower borrowing costs for the US. This reassessment – marked by quiet “sell America” trades – is beginning to surface. The damage extends far beyond... https://www.scmp.com/opinion/asia-opinion/article/3344106/why-fed-credibility-crisis-will-hit-emerging-markets-harder?utm_source=rss_feed https://www.scmp.com/opinion/asia-opinion/article/3344106/why-fed-credibility-crisis-will-hit-emerging-markets-harder?utm_source=rss_feed Sun, 22 Feb 2026 08:30:09 +0000 Bloomberg Bloomberg Bitcoin extended a four-week slide as investors returned to a more cautious macro backdrop. The token dropped as much as 3.2 per cent to US$66,604 on Tuesday, before paring the decline. Bitcoin, which has traded like a high-beta tech proxy in recent months, mirrored an earlier move lower in US equities, but failed to keep pace when stocks edged higher. “Sentiment is clearly bleak in crypto markets,” said Noelle Acheson, author of the Crypto is Macro Now newsletter. “There is strong progress in... https://www.scmp.com/tech/blockchain/article/3343879/sentiment-bleak-bitcoin-declines-geopolitical-tensions-add-risk-mood?utm_source=rss_feed https://www.scmp.com/tech/blockchain/article/3343879/sentiment-bleak-bitcoin-declines-geopolitical-tensions-add-risk-mood?utm_source=rss_feed Wed, 18 Feb 2026 06:06:08 +0000 Enoch Yiu Enoch Yiu The Year of the Horse is set to bring volatility for the investments of Hong Kong’s 4.8 million Mandatory Provident Fund (MPF) members, following a record-breaking Year of the Snake that ended on Monday, according to analysts. The next zodiac year, which begins on Tuesday, is the seventh in the Chinese lunar calendar’s 12-year cycle, each represented by an animal. The Year of the Snake delivered estimated earnings of HK$251.6 billion (US$32 billion), the highest on record since the MPF was... https://www.scmp.com/business/banking-finance/article/3343304/can-hong-kongs-48-million-mpf-members-repeat-record-gains-year-horse?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3343304/can-hong-kongs-48-million-mpf-members-repeat-record-gains-year-horse?utm_source=rss_feed Mon, 16 Feb 2026 02:00:09 +0000 Agence France-Presse Agence France-Presse Consumer inflation in the US cooled slightly more than expected in January, government data showed Friday, as energy prices dipped. Analysts say the figure allows the Federal Reserve to cut interest rates again later this year, but warn that policymakers need to see sustained improvement to do so – despite US President Donald Trump’s insistence that there is virtually no inflation. The consumer price index (CPI) rose 2.4 per cent year-on-year, the Department of Labour said, down from December’s... https://www.scmp.com/news/world/united-states-canada/article/3343541/us-inflation-cools-more-expected-kindling-hopes-fed-rate-cut?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3343541/us-inflation-cools-more-expected-kindling-hopes-fed-rate-cut?utm_source=rss_feed Fri, 13 Feb 2026 16:57:55 +0000 Agence France-Presse Agence France-Presse US job growth beat expectations in January while unemployment crept down, official data showed on Wednesday, defying immediate concerns about labour market fragility on the back of US President Donald Trump’s economic policies. The United States added 130,000 jobs last month, the Department of Labour said, significantly higher than the 55,000 predicted in surveys by Dow Jones Newswires and The Wall Street Journal. The jobless rate dropped to 4.3 per cent from 4.4 per cent in December. Trump... https://www.scmp.com/news/world/united-states-canada/article/3343229/us-adds-130000-jobs-january-amid-trump-policy-fallout-and-fed-rate-freeze?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3343229/us-adds-130000-jobs-january-amid-trump-policy-fallout-and-fed-rate-freeze?utm_source=rss_feed Wed, 11 Feb 2026 14:49:38 +0000 Igor Patrick Igor Patrick The United States is seeking a fair and enduring competition with China, along with strengthening its economic and political relationships with Latin America, US Treasury Secretary Scott Bessent said on Tuesday. He termed this the strategy of reducing vulnerabilities without cutting ties with Beijing. Speaking at an investor conference in Sao Paulo, hosted by the Brazilian bank BTG Pactual, Bessent said that Washington did not want to sever economic ties with China. Still, it was trying to... https://www.scmp.com/news/us/economy-trade-business/article/3343118/treasury-chief-says-us-seeks-fair-china-competition-eyes-latin-america-realignment?utm_source=rss_feed https://www.scmp.com/news/us/economy-trade-business/article/3343118/treasury-chief-says-us-seeks-fair-china-competition-eyes-latin-america-realignment?utm_source=rss_feed Tue, 10 Feb 2026 22:05:24 +0000 Anthony Rowley Anthony Rowley When the world’s leading central banks rode to the rescue during the global financial crisis in 2008, they were hailed as knights in shining armour intent upon slaying the twin dragons of economic recession and deflation. Now it seems the knights are no more, to quote an old English hymn, and yet the dragons are not dead. US President Donald Trump’s nominee to head the Federal Reserve, Kevin Warsh, has expressed doubts over whether the Fed acted wisely when it became the biggest buyer of US... https://www.scmp.com/opinion/world-opinion/article/3342516/trump-takaichi-meddling-finance-spells-more-turbulence-ahead?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3342516/trump-takaichi-meddling-finance-spells-more-turbulence-ahead?utm_source=rss_feed Sat, 07 Feb 2026 08:30:09 +0000 Biman Mukherji Biman Mukherji Asian investors should brace for more volatility in the gold and silver markets in the near term following a plunge in prices of the two metals after a record-breaking surge, with demand expected to rise again ahead of the Lunar New Year holiday. The outlook for gold remains strong over the long term, even as investors turned their focus to the US dollar in recent trading sessions, according to analysts. Gold typically has an inverse correlation with the US dollar. Investors have shifted funds... https://www.scmp.com/week-asia/economics/article/3342649/gold-still-shines-asia-thanks-pent-demand-amid-volatility?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3342649/gold-still-shines-asia-thanks-pent-demand-amid-volatility?utm_source=rss_feed Fri, 06 Feb 2026 08:21:56 +0000 Reuters Reuters Bitcoin plunged on Thursday, its decline accelerating amid weakening risk sentiment driven in part by volatility in precious ‍metals and a broad sell-off in tech shares. The world’s largest cryptocurrency fell to a low of US$66,675.12, its weakest since October 2024, a month before Republican Donald Trump won the US presidential election, having signalled his intention to support cryptocurrency on the campaign trail. It was last down 6.5 per cent at US$67,817. In total, the global digital market... https://www.scmp.com/news/world/united-states-canada/article/3342555/bitcoin-dips-below-us70000-wiping-out-gains-trump-election-win-amid-warsh-fed-fears?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3342555/bitcoin-dips-below-us70000-wiping-out-gains-trump-election-win-amid-warsh-fed-fears?utm_source=rss_feed Thu, 05 Feb 2026 13:32:17 +0000 Eunice Xu Eunice Xu Hong Kong’s cryptocurrency investors remain cautiously optimistic despite a sharp market sell-off over the weekend that pushed major digital assets to months-long lows. Bitcoin slid to US$74,541 on Monday morning, its lowest level in 10 months, extending a decline of about 40 per cent from its record high above US$126,000. That peak had been fuelled in part by expectations of a more crypto-friendly stance from the Trump administration. Other major tokens also weakened, with Ethereum down more... https://www.scmp.com/business/article/3342126/hong-kong-crypto-investors-stay-cautious-upbeat-bitcoin-sell-deepens?utm_source=rss_feed https://www.scmp.com/business/article/3342126/hong-kong-crypto-investors-stay-cautious-upbeat-bitcoin-sell-deepens?utm_source=rss_feed Mon, 02 Feb 2026 13:30:17 +0000 Sylvia Ma Sylvia Ma US President Donald Trump’s nomination of Kevin Warsh to head the Federal Reserve is unlikely to support a sustained rebound in the US dollar despite the possibility of short-term relief, Chinese economists said. Persistent doubts about the Fed’s autonomy during Trump’s second term could cap any durable recovery, as policy appeared increasingly geared towards domestic goals at the expense of the US dollar’s role as a global public good, they added. Concerns over the central bank’s independence... https://www.scmp.com/economy/global-economy/article/3342106/america-first-fed-chinese-economists-doubt-trumps-chair-nominee-can-shore-us-dollar?utm_source=rss_feed https://www.scmp.com/economy/global-economy/article/3342106/america-first-fed-chinese-economists-doubt-trumps-chair-nominee-can-shore-us-dollar?utm_source=rss_feed Mon, 02 Feb 2026 11:00:15 +0000 Anthony Rowley Anthony Rowley Compared with the turmoil threatened by US President Donald Trump’s actions in everything from geopolitics to trade, the outcome of Japan’s parliamentary lower house election, set for February 8, may seem like small beer. Yet it could presage a great upheaval in global finance. The election outcome is widely expected to strengthen the political power base of the fiscally expansionist Japanese prime minister, Sanae Takaichi, and increase borrowing when government debt almost everywhere is already... https://www.scmp.com/opinion/asia-opinion/article/3341741/how-one-election-japan-could-upend-bond-markets-and-global-finance?utm_source=rss_feed https://www.scmp.com/opinion/asia-opinion/article/3341741/how-one-election-japan-could-upend-bond-markets-and-global-finance?utm_source=rss_feed Sat, 31 Jan 2026 08:30:07 +0000 Mark Magnier,Frank Tang Mark Magnier,Frank Tang US President Donald Trump on Friday named former Federal Reserve official Kevin Warsh to be the next head of the US central bank, after teasing his choice for weeks, with Jerome Powell due to step down from the top job in May. The 55-year-old Warsh, who served as a governor of the Federal Reserve Board from 2006 to 2011, appeared to align with Trump’s bid to control the monetary policymaking institution as economic issues – from tariffs to affordability – dominate the policy agenda ahead of the... https://www.scmp.com/news/us/politics/article/3341870/trump-picks-former-federal-reserve-official-kevin-warsh-chair-us-central-bank?utm_source=rss_feed https://www.scmp.com/news/us/politics/article/3341870/trump-picks-former-federal-reserve-official-kevin-warsh-chair-us-central-bank?utm_source=rss_feed Fri, 30 Jan 2026 12:22:59 +0000 Mia Nurmamat Mia Nurmamat Since returning to the White House a year ago, US President Donald Trump has stepped up pressure on the Federal Reserve. With the term of the current Federal Reserve chair, Jerome Powell, set to end in May, Trump said he would announce his pick to replace Powell on Friday. Speculation has intensified on prediction markets. On Polymarket and Kalshi, betting volumes on the question “Who will Trump nominate as Fed chair?” had respectively reached about US$294.24 million and US$81.61 million by... https://www.scmp.com/economy/global-economy/article/3341813/trumps-fed-pick-new-clear-favourite-emerges-chair-race-succeed-powell?utm_source=rss_feed https://www.scmp.com/economy/global-economy/article/3341813/trumps-fed-pick-new-clear-favourite-emerges-chair-race-succeed-powell?utm_source=rss_feed Fri, 30 Jan 2026 08:30:19 +0000 Sylvia Ma Sylvia Ma Gold’s blistering rally to start 2026 – surging past US$5,500 an ounce – has already eclipsed many full-year price targets, forcing analysts to upgrade their outlooks. And for some, the US$6,000 threshold is now in view. The buying spree has prompted some Chinese funds to suspend new purchases, with one warning investors of “the risk of trading at a premium in the secondary market”. As of midday Thursday, spot gold stood at about US$5,540 per ounce, easing from an earlier high of US$5,598... https://www.scmp.com/economy/global-economy/article/3341653/runaway-gold-why-even-wall-street-cant-keep-metals-record-ascent?utm_source=rss_feed https://www.scmp.com/economy/global-economy/article/3341653/runaway-gold-why-even-wall-street-cant-keep-metals-record-ascent?utm_source=rss_feed Thu, 29 Jan 2026 06:48:57 +0000 Enoch Yiu Enoch Yiu Hong Kong’s de facto central bank has warned the public to beware of interest rate uncertainties this year after leaving its base rate unchanged, following a similar move overnight by the US Federal Reserve, leaving borrowers in the city with a longer wait for funding costs to fall. The Hong Kong Monetary Authority (HKMA) announced its decision to keep the city’s base rate at 4 per cent on Thursday morning. Hours earlier, the Fed also kept its target rate in the range of 3.5 per cent to 3.75 per... https://www.scmp.com/business/banking-finance/article/3341602/hkma-follows-federal-reserve-keep-interest-rate-unchanged?utm_source=rss_feed https://www.scmp.com/business/banking-finance/article/3341602/hkma-follows-federal-reserve-keep-interest-rate-unchanged?utm_source=rss_feed Wed, 28 Jan 2026 23:07:07 +0000 Agence France-Presse Agence France-Presse The US Federal Reserve held interest rates steady on Wednesday at its first policy gathering this year, citing robust economic growth, as the central bank resists President US Donald Trump’s mounting pressure for cuts. The Fed’s 10-2 vote maintains rates at a range between 3.50 per cent and 3.75 per cent, an outcome that was widely expected as officials await more data on the world’s biggest economy. In a statement on its decision, policymakers flagged that economic activity has been “expanding... https://www.scmp.com/news/world/united-states-canada/article/3341596/us-federal-reserve-holds-interest-rates-steady-defying-trump-pressure?utm_source=rss_feed https://www.scmp.com/news/world/united-states-canada/article/3341596/us-federal-reserve-holds-interest-rates-steady-defying-trump-pressure?utm_source=rss_feed Wed, 28 Jan 2026 19:23:17 +0000